Page 43 - 2019 Annual Report

NOTES TO FINANCIAL STATEMENTS (continued)

The aggregate intrinsic values of options exercised during the years ended December 31, 2019, 2018 and 2017 were $21.6
million, $12.4 million and $13.2 million, respectively, and were based on the closing prices of the Company’s common stock on
the dates of exercise. The aggregate intrinsic values for options outstanding and exercisable at December 31, 2019 were $10.0
million and were based on the closing price of the Company’s common stock at December 31, 2019, which was $279.64. The
excess tax benefits for stock options exercised during the years ended December 31, 2019, 2018 and 2017 were $2.0 million,
$1.7 million and $3.5 million, respectively.
At December 31, 2019, there are approximately 742,000 awards available for grant under the Plans. In 2016, the Company’s
shareholders approved the issuance of an additional 800,000 shares of common stock under the Plans. As part of approving
the shares, the Company agreed to not issue any additional awards under the legacy TXI plan. The awards available for grant
under the Plans at December 31, 2019 reflect no awards available under the legacy TXI plan.
In 1996, the Company adopted the Shareholder Value Achievement Plan to award shares of the Company’s common stock to
key senior employees based on certain common stock performance criteria over a long‐term period. Under the terms of this
plan, 250,000 shares of common stock were reserved for issuance. Through December 31, 2019, 42,025 shares have been
issued under this plan. No awards have been granted under this plan since 2000.
The Company adopted and the shareholders approved the Common Stock Purchase Plan for Directors in 1996, which provides
nonemployee members of the Board of Directors the election to receive all or a portion of their total fees in the form of the
Company’s common stock. Beginning in 2016, members of the Board of Directors were not required to defer any of their fees
in the form of the Company’s common stock. Under the terms of this plan, 300,000 shares of common stock were reserved for
issuance. Nonemployee members of the Board of Directors elected to defer portions of their fees representing 2,756, 3,105
and 2,132 shares of the Company’s common stock under this plan during 2019, 2018 and 2017, respectively.
The following table summarizes stock‐based compensation expense for the years ended December 31, 2019, 2018 and 2017,
unrecognized compensation cost for nonvested awards at December 31, 2019 and the weighted‐average period over which
unrecognized compensation cost will be recognized:

Incentive
Stock Restricted Compensation Directors’
(in millions, except year data) Options Stock Stock Awards Total
Stock‐based compensation expense recognized for
years ended December 31:
2019 $ 0.1 $ 32.6 $ 0.8 $ 0.6 $ 34.1
2018 $ 0.3 $ 27.7 $ 0.7 $ 0.6 $ 29.3
2017 $ 0.7 $ 28.7 $ 0.7 $ 0.4 $ 30.5
Unrecognized compensation cost at
December 31, 2019 $ — $ 22.7 $ 0.5 $ — $ 23.2
Weighted‐average period over which unrecognized
compensation cost will be recognized 2.1 years 1.7 years

The following presents expected stock‐based compensation expense in future periods for outstanding awards as of
December 31, 2019:

(in millions)
2020 $ 14.9
2021 7.2
2022 0.8
2023 0.3
Total $ 23.2

Stock‐based compensation expense is included in selling, general and administrative expenses in the Company’s consolidated
statements of earnings.

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